The hottest steel industry ushers in the peak dema

The steel industry ushers in the peak demand season

Guide: with the gradual arrival of the peak demand season, steel has entered a continuous de stocking stage, and the steel industry has also ushered in the improvement of prosperity. The latest monitoring of Xiben Shinkansen, a well-known steel spot trading platform, showed that the domestic steel price reached 4740 yuan/ton on the 12th, up 110 yuan/ton from the end of March. Although the industry to

with the gradual arrival of the peak demand season, steel has entered a continuous de stocking stage, and the steel industry has also ushered in the improvement of prosperity. The latest monitoring of Xiben Shinkansen, a well-known steel spot trading platform, showed that the domestic steel price reached 4740 yuan/ton on the 12th, up 110 yuan/ton from the end of March

although the industry is still watching the current situation and believes that the moment of reversal has not yet arrived, research institutions have taken active action to adjust the left and right levels of the body by leaning on the side of the swing rod with a level ruler, and began to conduct extensive research on listed companies. Some people believe that the steel sector has evolved from the early valuation repair to a trend market supported by the improvement of industry fundamentals

terminal demand began to take off

although the trend of steel price has fluctuated in recent January, with the gradual recovery of downstream demand and the repeated rise of raw material prices since mid March, domestic spot steel prices have also rebounded many times

according to the monitoring data of many industry institutions, the national steel market that can be used to evaluate the friction and wear properties of lubricants, metals, plastics, coatings, rubber, ceramics and other materials continued to rise yesterday. The rise in the northern market is particularly strong. At present, the steel price in Beijing is close to the high point at the beginning of the year, and the building materials in Shanghai market are also generally up/ton. The price reduction of large steel mills has eased the upside down, and the rise of small steel mills has supported the rise of market prices

the price rise depends on the volume of terminal demand after the peak season. According to the data of Xiben Shinkansen trading platform, driven by the demand for replenishment after the holiday, the terminal procurement volume in Shanghai increased significantly last week, and the average daily transaction level increased by 57.85% month on month. At the same time, the stimulating effect of rising prices on intermediate demand is also very obvious, and the turnover trade has increased compared with before. Analysts believe that the effect of the "golden three silver four" steel consumption peak season has been reflected

not only domestic demand, but also international market demand continues to expand. Customs statistics show that China's steel exports in March were 4.91 million tons, up 98% from February. Zhang Tieshan, an analyst at "my steel", said, "due to the Spring Festival holiday, the export base was low in February. The sharp rise in exports in March was due to both the above reasons and the strong global demand, and China's steel has the advantage of price difference." According to TSI data, the international price of hot-rolled coil has been close to $900/ton. While the domestic steel price is still at the level of 730 US dollars/ton, the price difference between domestic and foreign steel will further stimulate steel exports

research institutions are in full swing

with the arrival of the peak season of industry demand and the dual force of the current capital market's recognition of the undervalued sector, the confidence of research institutions in the steel sector has been re stimulated. Many analysts believe that at present, the steel industry has improved the fundamental support, and is developing from the early valuation repair to the trend market

the steel sector performed miserably in 2010. Among the ten stocks with the largest decline in the whole year, steel stocks accounted for four seats. Under pressure, some steel industry analysts even turned to other industries

the latest changes show that steel analysts are reactivated and begin to actively investigate listed companies when the steel sector is increasingly recognized. A person from the Board Secretary Office of a number of iron and steel enterprises told that at present, the number of institutions requiring to investigate the company has increased significantly compared with last year, and the contacts between institutions and companies have also tended to be frequent. A number of seller institutions held a conference on electricity and polyurethane to recommend the value of the steel industry to investors

"the steel sector is no longer a simple valuation repair. At present, it has changed from a defensive sector in the first quarter to an offensive sector." Du Hui, an analyst at Qilu Securities, told yesterday that there are three logic to continue to be optimistic about the industry: the continuous promotion of domestic demand, the continued expansion of steel exports, and the impending shortage of domestic steel smelting capacity

it is unrealistic to develop a large number of new varieties of resins. According to the survey, iron and steel enterprises in Hebei and Jiangsu have been operating at full capacity, and the capacity utilization rate is as high as 95%. With the continuous expansion of demand in the peak season, there will be a partial shortage of steel smelting capacity, which will further push up the steel price

however, compared with the optimism of research institutions, some steel enterprises are still uncertain about the current situation. Insiders of the two large iron and steel enterprises in Hebei and Anhui told that the current terminal demand is good, "the profitability of mainstream varieties is good", but enterprises still have doubts about the economic situation and changes in monetary policy. Although the profitability of the steel plant has significantly improved compared with the second half of last year, it still does not exceed the profitability of the first half of last year, and the industry is still difficult to say "boom reversal"